Network Rail selects preferred bidders for final £1.5bn track work

UK’s Network Rail has finalised the names of the preferred bidders for the final £1.5bn Central Track Alliance contract.

The contract, which encompasses track upgrade works for the following ten years in Central England, was awarded to Balfour Beatty, TSO and SNC-Lavalin’s Atkins business.

Overall, the Central Alliance includes London North West, London North East and East Midlands routes. Besides track upgrades, the contract includes the delivery of associated overhead lines and signalling works.

Balfour Beatty has an 80% share in the decade-long alliance, while TSO and Atkins hold 10% each.

Network Rail Track programme director Steve Featherstone said: “I look forward to working closely with Balfour Beatty, TSO and Atkins to establish our new alliance to deliver great value for the taxpayer and great service for our passengers and freight customers.

“Reaching this important milestone ensures we will have a stable foundation for the delivery of the core railway infrastructure across Great Britain for the next decade.”

The decision for the third and final alliance comes nearly two months after the announcement of the preferred bidders for the first two alliances.

Babcock Rail, Arup and Arcadis were selected as the preferred bidders for the Northern Alliance covering the Scotland route, while Colas Rail and AECOM were selected for the South Alliance. It includes Anglia, South East, Wessex, Western and Wales routes.

The announcement of the preferred bidders is subject to the finalisation of contract terms.

Commenting on the selection, Balfour Beatty Group chief executive Leo Quinn said: “We believe that industry collaboration is the way to drive higher efficiency and service standards. Network Rail’s new alliance model is a great step forward in rail contract procurement.”